What Credit Score Do You Need For a Phone Contract? (2024)

Lauren Robson

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January 14, 2022

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4 mins

Learn about building your credit score, what credit score you need for a phone contract, and key steps to financial freedom.

Why there’s a credit check for phone contracts

Phones have got a lot pricier over the past few years. An iPhone, for example, can cost anywhere from £500 to well over £1,000. When you buy a phone on contract, mobile networks are risking the fact that they might have to give you that eye-wateringly expensive device for free.

If you’re worried about your credit score, you might want to check it before you start shopping around for a new phone contract. At checkmyfile.com, you can use a free trial to check your score on the three biggest credit reference agencies—Equifax, Experian and TransUnion—in one go.

Getting a phone contract with bad credit

There’s no minimum credit score to get a phone contract. Every network operator scores you differently—so even if one network won’t give you a contract, you might have more luck elsewhere.

Having bad credit doesn’t stop you from getting a phone contract, but it might make it harder. Make sure you try all the major networks before you give up. Money Saving Advice says that it can be easier to get a contract with Three or Vodafone, for example.

How to improve your credit to get a phone contract

Pave is a nifty app that helps you build your credit score. Every time you pay your monthly membership fee on time, it builds up your credit history with Experian. Which can make it a lot easier to get things like a phone contract.

Find out more about Pave at paveapp.com.

Here are a few more ways to keep your credit score heading in the right direction. (Psst! We’ve got more information about building credit on our blog.)

Pay off credit cards in full each month

Missing a payment can lead to extra fees, and damage your credit score. We’ve written a handy guide on why this matters on our blog.

Watch your overdraft limits

Every time you go over your overdraft limit, it can damage your credit score. Check out our guide to understanding overdrafts for more help, or see our ultimate guide to overdrafts 2020 for the latest information on overdrafts.

Check the insights on your credit report

This is what banks and lenders use to decide whether to lend to you. By keeping an eye on it, you’ll start to understand more about how your credit report works and what you can do to improve your score.

Be mindful of hard credit checks

This is when a company makes a complete search of your credit report. Each hard check is recorded on your credit report, so any company searching it will be able to see that you've applied for credit.

Make sure you’re on the electoral roll

As well as making you eligible to vote, registering on the electoral roll can boost your credit score. So it’s kind of a win-win.

More credit repair services in the UK

If you’re looking to repair your credit, there are a few different options to check out.

Credit builder apps are useful because you can check them at any time on your phone. With pave, you get low balance alerts, bill tracking, and financial wellbeing quizzes—all of which helps you keep building your credit.

Credit builder loans can help to repair your credit, but make sure you check the APR rate when you sign up. Some rates can be quite high—and they sometimes change after a certain period of time.

Credit builder cards can also help by proving that you can pay back what you borrow. There’s a good guide to some of the popular options on money.co.uk.

What to do if you’re refused a phone contract because of your credit score

If you’ve had no luck getting a contract from any of the phone networks, there are still a few things you can do.

SIM-only deals can be a good option while you’re waiting for your credit score to improve—especially if you already have a phone, or you can borrow one from someone for a little while. You can compare the latest deals on Uswitch.

Getting a pay-as-you-go SIM from a company like giffgaff won’t require a credit check. You might also be more likely to get approved for a SIM-only contract with monthly payments from one of the big networks.

How a phone contract impacts your credit score

Having a phone contract adds new information to your credit file. If you pay your bill on time every month, this has a positive effect on your credit score. But it also means that if you’re late with a payment, your score will go down.

If you miss payments, then your phone provider might choose to cancel your contract. The Consumer Credit Act doesn't apply to mobile phone contracts because you’re not actually given any credit (it’s a contract of service).

This means that you only have the rights that are stated in your contract’s terms and conditions. In the small print, it’s pretty likely that you’ve given your phone provider permission to report information to credit reference agencies.

Build your credit score with Pave

Download the Pave app today to start building your credit score. You’ll have that new phone in no time at all! Our mission at Pave is to eliminate financial inequality and give people a fair chance to go as far as they can. We do this by offering the proper path to good credit.

FAQs

What Credit Score Do You Need For a Phone Contract? ›

Is there a minimum credit score needed to purchase a cell phone? While there is no minimum credit score that will ensure a cell phone contract approval, providers may use your score to assess creditworthiness. A higher score may help you secure more preferable options.

Read On ›

What is the minimum credit score for a phone contract? ›

Your credit score is only one piece of the puzzle and there is no set credit score that you need for a phone contract. The higher your rating, the better your chances of getting the contract you want, but a lower score doesn't automatically rule you out.

What credit score do you need for a cell phone contract? ›

There's no minimum credit score to get a phone contract. Every network operator scores you differently—so even if one network won't give you a contract, you might have more luck elsewhere. Having bad credit doesn't stop you from getting a phone contract, but it might make it harder.

Find Out More ›

Can I get a cell phone with a 600 credit score? ›

There's no single minimum credit score requirement for cell phone contracts. However, carriers typically use these benchmarks: 600 and above: Considered good. 700 and above: Considered excellent.

Find Out More ›

What is a good credit score for a cell phone? ›

There's no standard minimum credit score needed for a cell phone contract. The guidelines for a good or bad credit score rating are typically: 600 and above is good; 700 and above is great. A number of factors can impact your credit score, either negatively or positively, and your score is always subject to change.

What carrier does not check credit? ›

Prepaid cell phone plans don't require a credit check. That's because you pay in advance for your service, usually on a monthly basis, so there's no risk for the cell phone provider. The three major carriers — Verizon, T-Mobile and AT&T — offer prepaid plans, often for less than their traditional plans.

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Can I get AT&T with bad credit? ›

At a Glance:

AT&T may require a deposit for credit scores below 600. Options for getting a phone line with bad credit include prepaid plans, buy now pay later plans, joining a family plan, or using a cosigner. Prepaid plans offer advantages such as no deposit, lower monthly bills, flexibility, and affordability.

Get More Info Here ›

Can I get a Verizon phone with bad credit? ›

Verizon Wireless Services

Without a credit history, you will most likely have to give Verizon a security deposit of up to $400/line. The deposit is refunded after 1 year of in full and on time payments. An Accepted Solution is available for this post. Re: i want to switch to verizon but i have no credit?

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Does Verizon require good credit? ›

Credit checks help Verizon manage risk by reducing financial losses from customers who don't pay their bills on time. Verizon can confidently offer services to applicants with good credit. These applicants are more likely to pay on time and follow contract agreements.

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Why can't I get a phone contract? ›

As a general rule, providers are likely to refuse you a mobile phone contract either because your application was filled in incorrectly, or because you failed a credit check.

Does AT&T do a credit check for cell phones? ›

You'll have to: Review the charges associated with any service or wireless plan, installment plan, or add-ons. Be required to complete a (and have a satisfactory) credit check.

Keep Reading ›

What phone company is the easiest to get a contract with? ›

What is the easiest phone carrier to get approved with? The likes of giffgaff, Lebara Mobile, VOXI, SMARTY, EE and Asda Mobile all allow you to take out a SIM only contract without a credit check. But the other networks will still likely accept you too.

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Why would I fail a credit check for a phone? ›

A poor financial history or insufficient income can lead to failure. Similarly, mobile phone providers perform credit checks to ensure customers can handle a fixed monthly fee. Poor credit history in this case may necessitate a prepaid plan instead.

Get More Info ›